NVDA vs AMD

I was reading the news this morning about how AMD is getting more investor’s interest as a competitor to NVDA’s GPU chips. This always happens when a momentum/trend darling gets too expensive or too crazy for the smaller boys to handle. NVDA is in squarely in the hands of the big boy gamblers and if you can’t run with them dawgs, you better go find something else to trade.

Hello AMD!

Both stocks are moving higher in the market, with NVDA going to the moon (as stonk investors from r/WSB say), but AMD is not slouch either as the charts below show.

If you ask me what the real reason AMD is getting noticed is it’s all time high. Yes, momemntum players love well established companies making all time highs. It’s so much easier to buy high and sell higher, you just have to be first to get out.

Both of these stocks are showing good up trends, which makes since since they’re momentum plays on AI. If you ask me, this is the only way to make money in the AI space. Sell the GPUs to all the AI modelers. It’s like selling the gold pans to the prospectors.

So which company do you choose? Personally, I much prefer to stick with the leader of the group because the relative performance chart shows NVDA outpeforming AMD by a wide margin.

Who knows, maybe NVDA will slow down at bit here. It has been on a huge run and might need to take breather. Hell, the entire market needs to take a breather here, but it’s worth to keep an eye on AMD here.

Learn Stock Trading, Investing, and Risk Management

There are a handful of financial and trading books that have made a HUGE impact on my investments. If you want to trade and learn about money and risk management then I suggest you get the Van Tharp book. If you want just focus on long term investing, get the Random Walk Down Wall Street book.

Hell, get them both. I owe my wealth to what I learned in those books.